Goldman Hedge Fund To Double Money On Facebook IPO

May 17 2012 | 1:01pm ET

Goldman Sachs' largest internal hedge fund is set to sell a chunk of its Facebook shares at a very tidy profit, indeed.

Goldman Sachs Investment Partners, the four-year-old equity hedge fund run within Goldman by former proprietary trading chief Ranaan Agus, will sell 1.57 million of the 3.61 million Facebook shares it bought, along with Goldman and its clients, last January. The bank is also set to participate in Facebook's initial public offering, which could value the company at more than $100 billion—twice the $50 billion Goldman valued it at a year ago.

GSIP's take-home from the IPO will be between $53.4 million and $59.6 million—more if the IPO's runners sell some of the additional 4.3 million shares Goldman has agreed to put up to meet demand.

Goldman's non-U.S. high net-worth clients, who bought the lion's share of the 65.9 million in Facebook shares the bank acquired in January 2011, are expected to sell about $800 million worth of their shares.


In Depth

Humble in Hofstra...One Debate an Election Can Make

Sep 26 2016 | 10:20am ET

Tonight's U.S. Presidential debate, infamously coined the “Humbling in Hofstra...

Lifestyle

Vortic: Reimagining the Custom Wristwatch

Sep 27 2016 | 7:24pm ET

American watch manufacturer Vortic, which started out restoring antique pocket watch...

Guest Contributor

Malik: The Ever-Changing Middle Market and The Entering Class of 2016

Sep 2 2016 | 5:01pm ET

Deal sourcing and origination is only going to get more competitive given current...